FUNDAMENTALS
Spot gold was up 0.4% at $4,348.93 per ounce, as of 0107 GMT. U.S. gold futures for August delivery rose 0.3% to $4,368.40.
Details began to emerge of the U.S. and Iran’s interim agreement to end the war in the Middle East, with U.S. President Donald Trump saying it will rule out a nuclear weapon for Tehran and a U.S. official saying it allows Iran to sell oil upon signing.
The memorandum of understanding signed this week, though yet to be made public, extends a tenuous ceasefire announced in April by another 60 days to allow the warring countries to negotiate a permanent truce.
Investors now await the Federal Reserve policy decision and remarks, the first under Chair Kevin Warsh, later in the day, with rates widely expected to remain unchanged.
A majority of Fed policymakers now feel they will need to keep U.S. short-term borrowing costs on hold all year, projections due out on Wednesday are expected to show, with a small number seen penciling in a rate hike to stop a spike in inflation from getting entrenched in the economy.
A record 45% of the reserve managers surveyed by the World Gold Council expect to increase their own institutions’ gold holdings over the next 12 months, the international organization said on Tuesday.Spot silver rose 0.4% to $70.47 per ounce, platinum gained 0.9% to $1,819.45, and palladium was up 0.6% to $1,360.32.
DATA/EVENTS (GMT)
0600 UK Core CPI YY May 0600 UK CPI YY May
0600 UK CPI Services MM, YY May
0900 EU HCIP Final MM, YY May
1230 US Retail Sales MM May
-1024x683.jpg "Strait Outta Hormuz: Getting the Iran Oil Story Straight")
